Zulhas Says Kopdes Merah Putih Will Combat Middlemen

JAKARTA - President Prabowo Subianto is establishing the Merah Putih Village Cooperative to sever the chain of middlemen in villages. Coordinating Minister for Food Affairs Zulkifli Hasan stated that this cooperative will become the centre of economic activities for communities. “They (Kopdes Merah Putih) will cut off the chain of middlemen who have been exploiting farmers and communities,” said Zulhas, as quoted from the official statement of the Government Communication Agency, Tuesday (5/5/2026). The cooperative will also serve as an offtaker. This role enables Kopdes to buy agricultural and livestock products directly from residents. The purchase price is set higher than that of middlemen when market prices fall. “For example, with paddy, if we set it at Rp 6,500, but in the market there the price is below that, Kopdes can buy it. So it acts as an offtaker,” he explained. Kopdes Merah Putih will also be used for distributing social assistance such as the Family Hope Programme. The distribution will be directed more accurately. “It must truly be on target, not because of closeness to the village head, but truly for those who deserve to receive it. That will be the function of Kopdes,” he said. “Government assistance, subsidised goods like fertiliser, gas, and others will be distributed through the Merah Putih Village Cooperative or Merah Putih Sub-district Cooperative,” Zulhas continued.